FUNDRAISING IN A PANDEMIC

SELLING AND FUNDRAISING during apandemic Is it okay to sell and fundraise during this time? We know that anyone reading this article feels that to their marrow. As you have Many of the companies we have spoken with recently are experiencing stress always known, the “how” is critically important. around money right now and what is ethical in the face of financial strain. Here’s some of what they are struggling with: Ethics Alliance blog, a company’s reputation will be colored by the actions they • People are trying to rapidly re-imagine their businesses to make money took when faced with a crisis. The values you have called upon regarding how you during and after the pandemic. want to do business and want to be known to your customers, vendors, employees • There’s concern about profiting from a crisis – where is the line? and other stakeholders still hold. You have a right to sell/fundraise right now • For small businesses, how are they supposed to respond with accounts payable and accounts receivable – can they survive if they allow receivables to go out 60 days instead of 30 and can their vendors survive if and you have an obligation to do it ethically. We have two tools to offer you as you consider how to position your business today. What to keep in mind in your quest to keep things ethical: they push out their payables as a result? • When is a refund warranted? Balancing the right to make enough money to keep your business afloat and the right for a customer to not pay for a service they can’t receive right now. • To sell or not to sell? For nonprofits, to fundraise or not? Is it insensitive and irresponsible at this moment to sell or fundraise? Tool 1: Leverage Transparency Be as forthcoming with your intentions as possible. For example, if you’re going to ask the community or companies for donations for something and plan to sell the end product to cover your costs – tell them. When we ran this scenario with our local readership, they supported a business making money, even if off of donated supplies, but they wanted to know up front the company’s intent to sell This last one is especially meaningful to many companies with which we have the end product. This need for transparency extends beyond this situation. spoken. So – what do you do? You keep going. Business is vital to the American economy and it is right for means you are not tricking them into giving a donation or buying what you’re business owners to do all they ethically can to keep their businesses going. We know, realistically, that not all companies are going to make it through this selling. You aren’t going to get consumers to do something they do not want to do. It wasn’t the case pre-crisis, it is not the case during the crisis, and it will not be the moment and some companies will look different on the other side. Nonetheless, businesses should strive to survive as the basis of our economy. For one thing economists are telling us is the economy must survive. We’re talking about a macro level here – not just one company, but business as a driver of our economy case after crisis. Let them make up their own mind. Share what you offer, why they may find it valuable, and cut through the noise (more noise during the crisis) so they hear you. must survive. As NPR’s Planet Money podcast reported, economist Betsey Stevenson of University Michigan tell us there is much to consider. If we don’t shut down the economy, people die of the virus. If we shut down the economy for too long, people will likely die of something else, like starvation. We realize that last line is not easy. When you come up with your marketing approach for how you will cut through the noise, consider if the approach aligns with your ethics. Think through it using the Far, Wide and High© Framework that Business Ethics Alliance founder Dr. Beverly Kracher created. Okay – so the economy is a real factor here, we have to have a sustaining one. But, let’s be real, people are hurting right now. As a society, we have collectively put our focus, support and dollars behind businesses that meet our basic needs such as medical, shelter, food and oddly enough, toilet paper. We have chosen what is “most important” for this moment. We also know that after this moment passes, our society will require the services many other businesses provide – they will want their house painted again, their plants cared for, their hair done, the ambiance of restaurants and theater and everything else we have come to love. These businesses and more are the engine of our economy. But it feels a little like feathering the proverbial clutch right now – how long can these businesses be out of commission before the entire economy stalls? Before there is no money left floating around in the exchange of buyer-seller-earner to go to those business and thus they don’t exist after this moment passes. This means, we have to figure out how to exist through this moment so we can exist afterthis moment. All of this to say, it is ethical to try to keep going. It is ethical to sell right now. It is ethical to fundraise right now. All of our companies are part of the larger picture and we have to do what we can to survive. How matters because reputation counts. As was said in a previous Business The people making decisions to donate/buy from you are adults. Acting ethically Tool 2: Think through your choices using the Far, Wide and High © Framework

When brainstorming through the new approach for how to sell your product or services at this moment or how to ask for contributions, keep the ethical decisionmaking model front of mind and answer the questions:

FAR: What are the long-term consequences of each of my choices? WIDE: What obligations do I have (to myself, my family, my employees, my customers, my vendors, my community, etc.)? What rights are relevant? What is fair?

HIGH: What do I want to be known for? What would my “best self” do? How you position your company/nonprofit to be relevant might look a little different right now but continuing to sell and fundraise is ok. As part of the Ethical Omaha Values identified by the Business Ethics Alliance, financial vitality was identified as a behavior and practice responsible for significant business success in our community – we believe companies should enjoy financial vitality gained through ethical means. It’s not about being profitable or ethical, it’s both. Go gently and conscientiously.